mark101 exam

Organisation strategy

Organisation strategy focuses on the scope of the organisation, it’s portfolio of businesses, allocation of resources, adopts a long term focus, and focuses on how it will achieve its mission, goals and objectives.

Situation Analysis

The process of conducting research on the organisations macro and microenvironment, used to identify threats and opportunities to guide marketing strategy, planning and implementation. Not a linear process

Steps in the situation analysis:

Macroenvironment/microenvironment analysis

Customer analysis

Product market analysis

Competitor analysis

Channel and logistics analysis

SWOT analysis

Macroenvironment

Demographic, economic, natural, technological, political, cultural

Microenvironment

Publics

Competitors

Marketing intermediaries

Suppliers

Strengths

internal capabilities that may help a company reach its objectives

Weaknesses

internal limitations that may interfere with a company’s ability to achieve its objectives

Opportunities

external factors that the company may be able to exploit to its advantage

Threats

current and emerging external factors that may challenge the company’s performance

Customer markets

Consumer markets

Reseller markets

Business markets

Government markets

International markets

Product marker analysis

the product market is the industry in which the business operates in, and the product category/ies in which it competes. analysing this seeks to gain an understanding of the trends within this market

Competitor analysis

who are my competitors? are some more important? the competitors need to reflect your target market and the correct product market

Recommendations and Marketing objectives

SMART objectives that link to SWOT findings

SMART definition

Specific

Measurable

Achievable

Relevant

Timebound

Target market

A set of buyers having common needs or characteristics that the company decides to serve

Product Programme

Defines what you are selling and how it satisfies customer needs, core focus being quality, design, features, packaging, and complimentary services. Strategic goal ensures the good solves a distinct problem and outshines competitor offerings.

Pricing programme

Dictates how much customers pay and the financial mechanics of your exchange. (list prices, discounts, payment periods, credit terms and strategic positioning

Distribution programme

Outlines how and where your product reaches the end consumer (distribution channels, inventory levels, logistic warehouses, and digital or physical retail presence

Marketing communications programme

manages the messaging and outreach used to persuade customers to buy (advertising, outreach, PR, digital marketing, and direct sales promotions)

Product decisions

Choices a business makes about the goods or services it offers customers (product design, quality, branding, packaging, features, product lines, and products)

Pricing decisions

Choices about how much a company charges for its products or services - pricing affects sales, profits, customer perceptions, and competitiveness

Value based pricing

sets prices according to the value customers believe a product provides rather than the cost of making it.

Cost based pricing

Cost + Desired profit = Selling price

Competition based pricing

Sets pricing based on competitors prices (price lower, matching, or higher)

Market penetration pricing

setting a lower initial price to draw customers in quickly and gain market share

Market skimming pricing

Setting a higher initial price when introducing a new product and lowering it over time

Distributions decisions

determining how a product will be delivered from producer to customer

Intensive distribution

aims to place products in as many outlets as possible with the goal of maximum market coverage

Exclusive distribution

limits sales to one or a few carefully selected retailers with the goal of maintaining exclusivity and prestige

Selective distribution strategy

uses a limited number of retailers but more than exclusive distribution with the goal of balancing market coverage with control

indirect channel system

producer > wholesaler >

direct channel system

producer > consumer

mixed channel system

uses both direct and indirect simultaneously

Marketing communication decisions

Involves determining how a company communicates with customers to inform, persuade, and remind them about product

IMC (Integrated marketing communications)

The process of coordination all promotional activities so they deliver a consistent message across all communication channels

Promotion mix

Refers to the combination of promotional tools a company uses to communicate with customers

Push strategy

focuses on bringing the product to the customer

Pull strategy

Focuses on creating customer demand so consumers actively seek the product

Scheduling strategies

the timing and frequency of promotional activities

Continuous scheduling

Advertising runs constantly throughou

Flighting scheduling

Advertising occurs in specific periods followed by periods of no advertising

Pulsing scheduling

Combination of flighting and continuous